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biodiesel

Shell Malaysia Trading Sdn. Bhd. marked a significant milestone by launching the pilot test of the first pair of Scania road tankers, operated by Konsortium Port Dickson Sdn Bhd (KPD), designed to operate using B100 Biodiesel.

In collaboration with Scania and Konsortium Port Dickson Sdn Bhd (KPD), Shell Malaysia aims to pilot test these road tankers as part of an initiative to reduce carbon emissions. Supported by the Malaysian Palm Oil Board (MPOB) and the Ministry of Plantation Industries and Commodities (MPIC), the venture aligns with efforts to drive sustainability in the transportation sector.

One of the highlights is the significance of renewable fuels in lowering carbon emissions from vehicles with internal combustion engines, providing an alternative pathway for companies to achieve their Environmental, Social, and Governance (ESG) goals. Scania has been a pioneer in preparing its vehicles for biodiesel use, and since 2019, all Scania diesel vehicles sold in Malaysia are FAME-prepared up to B100.

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With global crude oil prices having been fairly stable over the past month (and economists are forecasting that this will continue in 2023), fuel prices have likewise been stable. The Automatic Pricing Mechanism used by the Finance Ministry determines retail prices based on various factors and for the coming 7 days, no change is needed for RON97 petrol. It also probably means that the subsidies for RON95 petrol and biodiesel can be less to maintain them at capped levels.

Even though our petrol prices (except for RON97) are controlled and lower than neighbouring countries, it’s good to try to use less as fossil fuels will eventually be finished on the planet. Here are some ways to reduce the fuel consumption in your vehicle:

Don’t carry unnecessary weight: The less weight your car has to move, the less hard the engine has to work. So whatever you do not need to keep in the boot should be taken out. This includes those golfbags and camping gear.

Plan trips: If you have different places to go on a single journey, spend a few minutes to think about the route so that you avoid congested areas. You may have to travel a few extra kilometres using a less congested route but you will actually use less fuel because the car won’t be stuck in a jam burning fuel going nowhere. Plus you will probably be less stressed out when you reach your destination.

Right tyre pressures: Under-inflated tyres will cause more rolling resistance (not to mention faster wear) which will worsen fuel consumption. Be sure they are inflated to the minimum recommended by the manufacturer and a bit more might also be better.

Service the engine regularly: Engine parts wear out or get dirty over time and reduce the operating efficiency of the engine. Regular servicing ensures that adjustments are set correctly and periodically, parts like filters or sparkplugs need to be replaced.

Switch off the engine more: Many motorists do not fully realize that the engine is burning fuel every second it is running. They will keep the engine running for long periods while waiting for someone to buy things or waiting for their children to come out from school. This is very wasteful and running the air-conditioner at the same time wastes more fuel. Switch off the engine when you are going to be stationary for more than 5 minutes and you’ll find your fuel consumption improving.

Slow and steady: You don’t have to drive at a crawl to save fuel but if you just drive more frequently at 80/90 km/h instead of 100/110 km/h, you could save 10 to 15% in fuel. Keeping a steady speed rather than ‘pumping‘ the pedal will also save on fuel. On the highway, you can use cruise control, if available.

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The price of RON97 petrol continues to remain unchanged, while the other fuel grades – RON95 petrol and biodiesel – are subsidized and maintained at their levels.

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The first week of 2023 sees no change in all fuel grades again, so unsubsidized RON97 petrol remains at RM3.35 per litre. The other grade – RON95 petrol and biodiesel – remain the same as the government has been maintaining their levels by using subsidies when necessary. It is a costly exercise when oil prices start rising and while the subsidies have to stop, the government will find a way to continue providing them to those who really are really in need of assistance.

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For the final week of 2022, prices of all fuel grades remain unchanged from last week. The government says that they are formulating a scheme of targeted subsidies which could use engine size as a basis although that won’t work well today with even expensive models having engines as small as 1.5 litres. Some other criteria would need to be applied in this case.

Regardless of whether fuel consumption matters to you, it’s good to try to use less of it as fossil fuels will eventually be finished on the planet. Here are some ways to reduce the fuel consumption in your vehicle:

Right tyre pressures: Under-inflated tyres will cause more rolling resistance (not to mention faster wear) which will worsen fuel consumption. Be sure they are inflated to the minimum recommended by the manufacturer and a bit more might also be better.

Don’t carry unnecessary weight: The less weight your car has to move, the less hard the engine has to work. So whatever you do not need to keep in the boot should be taken out. This includes those golfbags and camping gear.

Plan trips: If you have different places to go on a single journey, spend a few minutes to think about the route so that you avoid congested areas. You may have to travel a few extra kilometres using a less congested route but you will actually use less fuel because the car won’t be stuck in a jam burning fuel going nowhere. Plus you will probably be less stressed out when you reach your destination.

Slow and steady: You don’t have to drive at a crawl to save fuel but if you just drive more frequently at 80/90 km/h instead of 100/110 km/h, you could save 10 to 15% in fuel. Keeping a steady speed rather than ‘pumping‘ the pedal will also save on fuel. On the highway, you can use cruise control, if available.

Service the engine regularly: Engine parts wear out or get dirty over time and reduce the operating efficiency of the engine. Regular servicing ensures that adjustments are set correctly and periodically, parts like filters or sparkplugs need to be replaced.

Switch off the engine more: Many motorists do not fully realize that the engine is burning fuel every second it is running. They will keep the engine running for long periods while waiting for someone to buy things or waiting for their children to come out from school. This is very wasteful and running the air-conditioner at the same time wastes more fuel. Switch off the engine when you are going to be stationary for more than 5 minutes and you’ll find your fuel consumption improving.

RON97 petrol falls another 10 sen cheaper per litre to RM3.85, based as usual on the Automatic Pricing Mechanism (APM) which determines the retail price for unsubsidized fuel in Malaysia. RON95 petrol and biodiesel continue to be subsidized to maintain their prices and the new government says that while there is a need for subsidies to be targeted, it is a complex process to ensure that it will benefit those who really need assistance.

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Perhaps it’s a coincidence but with the new government now confirmed, the first update of fuel prices has RON97 petrol becoming 10 sen cheaper per litre. This would still be based on the Automatic Pricing Mechanism (APM) which determines the retail price for unsubsidized fuel in Malaysia. RON95 petrol and biodiesel are currently subsidized to maintain their prices but the government may soon review the subsidies to have a more targeted approach that benefits those who really need assistance.

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Fuel prices still unchanged, even after the elections have finished (or have they?). However, there is no new government formed yet due to issues which Malaysians are well aware of. So the caretaker government cannot start any new policies that may affect fuel prices although the guidance is usually by the long-established Automatic Pricing Mechanism.

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Once again, no changes in fuel prices for the following week, even for the unsubsidized RON97 fuel which remains just below the RM4/litre level, based on the Automatic Pricing Mechanism. Other grades continue to be subsidised by the government to maintain pump prices at a fixed level.

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Today, Euro5 diesel is available to motorists nationwide, enabling them to run on a cleaner, high-quality fuel that is not only good for the engine but also for the environment. But prior to this day (November 12) in 2014, the fuel was only up to the Euro2 standard which was significantly less environment friendly. However, due to the controls that the government have on the petroleum industry and also the higher costs, the upgrading of fuel standards was slow.

The upgrading of standards was important because the newer generation of diesel engines requires fuel of better quality with much lower levels of sulphur. Furthermore, Singapore had become stricter on the exhaust emissions of commercial vehicles and as a great number cross over from Malaysia daily to deliver goods, the transport industry also needed to have better fuel.

The first company to make the decision to provide Euro5 diesel was Boustead Petroleum Marketing Sdn Bhd, which markets the BHPetrol brand of fuels and lubricants. After discussions with the government which was supportive of the move, the company began to supply Infiniti Euro5 diesel to a few stations in Johor. This was to quickly address the issue for the lorry operators going to Singapore.

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